Boxlight Corp (BOXL) 2022 Q4 法說會逐字稿

Thank you, and welcome to the Boxlight Fourth Quarter and Full Year 2022 Earnings Conference Call. By now, everyone should have access to the press release issued this afternoon. This call is being webcast and is available for replay.

謝謝，歡迎來到 Boxlight 第四季度和 2022 年全年收益電話會議。到現在為止，每個人都應該可以看到今天下午發布的新聞稿。此電話正在網絡廣播中，可以重播。

The remarks today will include statements that are considered forward-looking within the meaning of securities laws, including forward-looking statements about future results of operations, business strategies and plans, customer relationships, market trends and potential growth opportunities.

今天的評論將包括證券法意義上的前瞻性陳述，包括關於未來經營業績、業務戰略和計劃、客戶關係、市場趨勢和潛在增長機會的前瞻性陳述。

In addition, management may make additional forward-looking statements in response to your questions. Forward-looking statements are based on management's current knowledge and expectations as of today and are subject to certain risks and uncertainties and may cause the actual results to differ materially from the forward-looking statements.

此外，管理層可能會針對您的問題做出額外的前瞻性陳述。前瞻性陳述基於管理層截至今日的當前知識和預期，受某些風險和不確定因素的影響，可能導致實際結果與前瞻性陳述存在重大差異。

A detailed discussion of such risks and uncertainties are contained in the company's most recent Form 10-K, Form 10-Q and other reports filed with the SEC. The company undertakes no obligation to update any forward-looking statements.

公司最近向美國證券交易委員會提交的 10-K 表格、10-Q 表格和其他報告中包含對此類風險和不確定性的詳細討論。公司不承擔更新任何前瞻性陳述的義務。

On this call, management will refer to non-GAAP measures that when used in combination with GAAP results, provide additional analytical tools to understand the company's operations. The company has provided reconciliations to the most directly comparable GAAP financial measures in the earnings press release, which will be posted on the Investor Relations section of the company's website at boxlight.com. And with that, I'll hand the call over to Boxlight's Chairman and Chief Executive Officer, Michael Pope.

在這次電話會議上，管理層將參考非 GAAP 措施，這些措施在與 GAAP 結果結合使用時，提供額外的分析工具來了解公司的運營。公司在收益新聞稿中提供了與最直接可比的 GAAP 財務指標的對賬，該新聞稿將發佈在公司網站 boxlight.com 的投資者關係部分。有了這個，我將把電話轉交給 Boxlight 的董事長兼首席執行官 Michael Pope。

Hello, everyone, and thank you for joining our fourth quarter and full year 2022 earnings call. Also joining me are Mark Starkey, our President; and Greg Wiggins, our Chief Financial Officer.

大家好，感謝您參加我們的第四季度和 2022 年全年財報電話會議。我們的總裁 Mark Starkey 也加入了我的行列；和我們的首席財務官 Greg Wiggins。

We reported $43 million in revenue for the fourth quarter, short of our Q4 guidance and a slight decline from our revenue in Q4 2021. The softer revenue production was a result of changes in foreign currency exchange rates and slowing demand across the industry during the second half of 2022, which we believe is a temporary lull after several quarters of substantial growth.

我們報告第四季度的收入為 4300 萬美元，低於我們第四季度的指導，並且比我們 2021 年第四季度的收入略有下降。收入減少的原因是第二季度外匯匯率的變化和整個行業的需求放緩2022 年的一半，我們認為這只是幾個季度大幅增長後的暫時平靜。

On a constant currency basis, we, in fact, generated a slight revenue growth of 7% for the quarter. We also generated better-than-expected profitability, including $2.6 million in adjusted EBITDA, greater than our guidance of $2 million and an improvement of $4.6 million over Q4 2021.

事實上，在固定匯率的基礎上，我們本季度的收入略有增長 7%。我們還產生了好於預期的盈利能力，包括 260 萬美元的調整後 EBITDA，高於我們 200 萬美元的指導，比 2021 年第四季度提高了 460 萬美元。

Our strong profitability was mainly a result of our higher gross profit margin of 34%, our best result to date and an increase of 1,240 basis points over Q4 2021.

我們強勁的盈利能力主要是由於我們的毛利率較高，達到 34%，是迄今為止最好的結果，並且比 2021 年第四季度增加了 1,240 個基點。

For the full year 2022, we delivered $222 million in revenue and $19 million in adjusted EBITDA. For each of the last 3 years, we have demonstrated consistent revenue growth and an improving bottom line. During that time, revenue grew from $33 million to $222 million, and adjusted EBITDA improved from a loss of $6 million to positive $19 million. Much of that growth was due to strategic acquisitions. However, we also produced substantial double-digit organic growth, lifted our gross profit margins and held operating expenses in line.

2022 年全年，我們實現了 2.22 億美元的收入和 1900 萬美元的調整後 EBITDA。在過去 3 年中的每一年，我們都展示了持續的收入增長和改善的底線。在此期間，收入從 3300 萬美元增至 2.22 億美元，調整後的 EBITDA 從虧損 600 萬美元增至正值 1900 萬美元。大部分增長歸功於戰略收購。然而，我們也實現了可觀的兩位數有機增長，提高了毛利率並控制了運營費用。

During the second half of 2022, we generated $8 million in cash flows from operations, allowing us to pay down our debt facility by $8.5 million. As of December 31, our debt balance was $50 million, which is manageable at less than 0.5x current assets and 2.6x our full year 2022 adjusted EBITDA.

2022 年下半年，我們從運營中產生了 800 萬美元的現金流，使我們能夠償還 850 萬美元的債務融資。截至 12 月 31 日，我們的債務餘額為 5000 萬美元，低於流動資產的 0.5 倍和 2022 年全年調整後 EBITDA 的 2.6 倍，這是可控的。

We recently announced a $15 million share repurchase program. And as our business continues to mature, we expect growing operating cash flows that we will strategically deploy to drive long-term value to our shareholders including the repurchase of our stock during times we are trading below our intrinsic value.

我們最近宣布了一項 1500 萬美元的股票回購計劃。隨著我們的業務不斷成熟，我們預計我們將戰略性地部署運營現金流，以推動股東的長期價值，包括在我們的交易價格低於內在價值時回購我們的股票。

At December 31, we reported a healthy balance sheet position, including $15 million in cash, $58 million in inventory and $63 million in working capital. Our inventory position, in particular, is strong in each of our key markets and across all of our key products. We are expecting modest single-digit revenue growth for the full year 2023. However, we believe the bulk of that growth will come during the second half of the year.

截至 12 月 31 日，我們的資產負債表狀況良好，包括 1500 萬美元現金、5800 萬美元存貨和 6300 萬美元營運資金。我們的庫存狀況在我們的每個主要市場和我們所有的主要產品中尤其強勁。我們預計 2023 年全年收入將實現適度的個位數增長。但是，我們認為大部分增長將出現在下半年。

For Q1 2023, we are guiding to $40 million in revenue and $3 million in adjusted EBITDA. Our confidence in delivering full year revenue growth is due to recent increases in both sales opportunity registrations and our overall pipeline, which are leading indicators for order intake.

對於 2023 年第一季度，我們預計收入為 4000 萬美元，調整後的 EBITDA 為 300 萬美元。我們對實現全年收入增長的信心是由於最近銷售機會註冊和我們的整體管道的增加，這是訂單接收的領先指標。

Additionally, there are still substantial government funds available to purchase education technology solutions, particularly in the U.S. and select European markets. In the United States, billions of dollars of ESSER funding are set to expire, if not obligated by September 2023 and September 2024. School districts will be scrambling to make significant purchasing decisions over the next few quarters to meet those deadlines.

此外，仍有大量政府資金可用於購買教育技術解決方案，尤其是在美國和部分歐洲市場。在美國，數十億美元的 ESSER 資金將在 2023 年 9 月和 2024 年 9 月之前到期，如果沒有義務的話。學區將爭先恐後地在接下來的幾個季度內做出重大的採購決定，以滿足這些最後期限。

In the state of Texas, Governor Greg Abbott proposed the use of nearly $750 million in state funds to make school safety improvements, including technology upgrades. Our Boxlight Integrated Technology Solution attention is a prime candidate for those funds, and we are actively promoting that solution across the state.

在德克薩斯州，州長 Greg Abbott 提議使用近 7.5 億美元的州資金來改善學校安全，包括技術升級。我們的 Boxlight Integrated Technology Solution 注意力是這些資金的主要候選者，我們正在全州積極推廣該解決方案。

Attention combines our campus-wide paging, Intercom and emergency communication platform, FrontRow conductor, with our cloud management platform, CleverLive, and our flat-panel displays, including MimioPro 4 and Clevertouch IMPACT Max.

Attention 將我們的校園尋呼、對講和緊急通信平台 FrontRow conductor 與我們的雲管理平台 CleverLive 以及我們的平板顯示器（包括 MimioPro 4 和 Clevertouch IMPACT Max）結合在一起。

Although we sell our solutions globally, we are proud to be headquartered in Atlanta, Georgia. Many of our largest competitors are foreign-owned, which has come under additional scrutiny in recent quarters, particularly in the U.S. and Western Europe. Of specific concern is data security and privacy. Our software solutions that how sensitive student and user data are developed and housed in the U.S., U.K. and Europe and we can certify that user data is not accessible by foreign corporations or governance.

儘管我們在全球範圍內銷售我們的解決方案，但我們為總部位於佐治亞州亞特蘭大而感到自豪。我們許多最大的競爭對手都是外資企業，最近幾個季度受到了更多的審查，尤其是在美國和西歐。特別值得關注的是數據安全和隱私。我們的軟件解決方案證明了敏感的學生和用戶數據是如何在美國、英國和歐洲開發和存儲的，我們可以證明外國公司或政府無法訪問用戶數據。

We continue to offer the most comprehensive integrated solution suite on the market and we made substantial progress during 2022 in both enhancing our existing solutions and bringing new solutions to market. In recent months, we announced our new generation interacted flat panels, digital signage displays for the U.S. market, all-in-one LED video walls, wireless presentation hubs and substantial enhancements to our software suite, including Cleverstore, Clevershare, CleverLive, Conductor, Lynx whiteboard and MimioConnect.

我們繼續提供市場上最全面的集成解決方案套件，並且我們在 2022 年期間在增強現有解決方案和將新解決方案推向市場方面取得了實質性進展。最近幾個月，我們發布了面向美國市場的新一代交互式平板顯示器、數字標牌顯示器、一體式 LED 視頻牆、無線演示中心以及對我們軟件套件的重大改進，包括 Cleverstore、Clevershare、CleverLive、Conductor、 Lynx 白板和 MimioConnect。

We are leading the industry in delivering consistent innovation and are often recognized with awards and accolades. Just last month, we received 10 awards from Tech and Learning for several of our hardware, software and service offerings, including ATTENTION!, MimioPro 4, CleverLive, Robo 3D printers and EOS Education Professional Development Services.

我們在提供持續創新方面處於行業領先地位，並經常獲得獎項和讚譽。就在上個月，我們的多項硬件、軟件和服務產品（包括 ATTENTION!、MimioPro 4、CleverLive、Robo 3D 打印機和 EOS Education 專業開發服務）獲得了 Tech and Learning 頒發的 10 個獎項。

In our Boxlight mission statement, we articulate our vision to be the industry leader, and we fully expect to be the #1 provider of interactive technology solutions in every major market where we compete. We also recently updated the last paragraph of our mission statement to read, "We strive to be a trusted partner to our customers, vendors, investors and employees and to earn a fair profit while embracing ethical, diverse and inclusive business practices". We stand by our commitment to be a trusted partner to all stakeholders.

在我們的 Boxlight 使命宣言中，我們闡明了我們成為行業領導者的願景，我們完全希望成為我們競爭的每個主要市場中排名第一的交互技術解決方案提供商。我們最近還將使命宣言的最後一段更新為“我們努力成為我們的客戶、供應商、投資者和員工值得信賴的合作夥伴，並在擁抱道德、多元化和包容性商業實踐的同時賺取公平的利潤”。我們信守承諾，成為所有利益相關者值得信賴的合作夥伴。

Additionally, in unison with our Diversity and Inclusion Committee, our executive team has put the topic of diversity, equity and inclusion at the top of our strategic planning for 2023. Per a recent McKinsey study, a diverse and inclusive culture enables us to enhance our creative thinking, problem-solving and ability to deliver deeper connections with partners and customers and ethically diverse companies are 35% more likely to outperform their peers.

此外，與我們的多元化和包容性委員會一致，我們的執行團隊已將多元化、公平和包容性的主題置於我們 2023 年戰略規劃的首位。根據麥肯錫最近的一項研究，多元化和包容性的文化使我們能夠加強我們的創造性思維、問題解決能力以及與合作夥伴和客戶建立更深層次聯繫的能力，以及道德多元化的公司超越同行的可能性要高 35%。

Also for a recent Deloitte study, companies with an inclusive culture are 2x is likely to meet or exceed financial targets, 6x more likely to be innovative and 5x more likely to anticipate change and respond effectively.

同樣在德勤最近的一項研究中，具有包容性文化的公司達到或超過財務目標的可能性是其 2 倍，創新的可能性是其 6 倍，預測變化和有效響應的可能性是其 5 倍。

Our greatest asset as a company, our key competitive advantage is our people. We have successfully hired and retained the best employees in the business, many of whom came from our competitors, and I'm proud to work with talented, dedicated and loyal employees that believe in our company vision and are committed to make it a reality. With that, I will now turn the time over to our President, Mark Starkey.

作為一家公司，我們最大的資產、我們的關鍵競爭優勢是我們的員工。我們成功地聘用並留住了業內最優秀的員工，其中許多人來自我們的競爭對手，我很自豪能與有才華、敬業和忠誠的員工一起工作，他們相信我們公司的願景並致力於實現它。有了這個，我現在將把時間交給我們的總裁馬克斯塔基。

Thank you, Michael. We booked $39.6 million of orders during Q4, down 4.6% in Q4 last year. The decrease in orders is primarily due to a general slowdown post pandemic and we expect further -- sorry, we expect future orders to more closely follow the traditional ad tech phasing with order intake stronger in Q2 and Q3.

謝謝你，邁克爾。我們在第四季度預訂了 3960 萬美元的訂單，比去年第四季度下降了 4.6%。訂單減少主要是由於大流行後普遍放緩，我們預計未來的訂單將更接近傳統的廣告技術分階段，第二季度和第三季度的訂單量會增加。

For the full year, our order intake was $225 million compared with $216 million in 2021, representing 4.2% year-on-year growth. Our focus remains on building a strong, profitable business and improving our gross margin percentage has been central to this goal.

全年，我們的訂單量為 2.25 億美元，而 2021 年為 2.16 億美元，同比增長 4.2%。我們的重點仍然是建立一個強大的、盈利的業務，而提高我們的毛利率一直是這一目標的核心。

We achieved a record GP percentage of 33.6% in Q4 and we expect gross margins to remain strong throughout FY '23. Some of our key orders received during the quarter included $7 million from Graphics Distribution, our U.S. distribution partner. $4.8 million from Bluum in the U.S., $1.8 million from Avion Interactive in Finland, $1.5 million from Unit DK in Denmark, $1.4 million from D&H Distribution in the U.S. and $1.1 million from ESI Informatique in Belgium, to name a few.

我們在第四季度實現了創紀錄的 GP 百分比 33.6%，我們預計整個 23 財年的毛利率將保持強勁。我們在本季度收到的一些主要訂單包括來自我們的美國分銷合作夥伴 Graphics Distribution 的 700 萬美元訂單。美國 Bluum 投資 480 萬美元，芬蘭 Avion Interactive 投資 180 萬美元，丹麥 Unit DK 投資 150 萬美元，美國 D&H Distribution 投資 140 萬美元，比利時 ESI Informatique 投資 110 萬美元，等等。

Despite the small decline in order intake, our actual market share in the U.S. increased from 6% in Q4 last year to 9.3% in Q4 this year, according to data from Futuresource. Our EMEA market share decreased marginally from 7.2% to 6.8% during Q4. Our expectation is that our market share will increase to over 7% in EMEA in FY '23 as our new German team get up to speed and start winning significant contracts.

根據 Futuresource 的數據，儘管訂單量略有下降，但我們在美國的實際市場份額從去年第四季度的 6% 增加到今年第四季度的 9.3%。我們的 EMEA 市場份額在第四季度從 7.2% 小幅下降至 6.8%。我們的預期是，隨著我們新的德國團隊加快步伐並開始贏得重要合同，我們在 23 財年在歐洲、中東和非洲的市場份額將增加到 7% 以上。

In terms of end users, we had some great wins during the quarter. Our FrontRow campus communication platform, featuring easy room is gaining traction, and we have had some excellent wins particularly in the Texas region, with several school districts investing heavily in campus safety.

在最終用戶方面，我們在本季度取得了一些巨大的勝利。我們以簡易房間為特色的 FrontRow 校園交流平台越來越受歡迎，我們取得了一些出色的勝利，特別是在德克薩斯地區，幾個學區在校園安全方面投入了大量資金。

We continue to roll out large-scale projects at San Diego School District and growing business in LAUSD. These are part of long-term relationships based on our software platforms that are widely used by the teachers in each district.

我們繼續在聖地亞哥學區推出大型項目，並在 LAUSD 發展業務。這些是基於我們軟件平台的長期合作關係的一部分，這些平台被每個地區的教師廣泛使用。

We also won a great project at Gulfport School District in Mississippi, to roll out our Mimio solutions with Bluum. In Germany, we won tenders at the city of Ireland, a city of Malacca and the district of Durant. In each instance, we beat the competition based on the functionality and operability of our screens and software solutions.

我們還在密西西比州的格爾夫波特學區贏得了一個偉大的項目，以推出我們與 Bluum 的 Mimio 解決方案。在德國，我們中標了愛爾蘭市、馬六甲市和杜蘭特區。在每種情況下，我們都基於屏幕和軟件解決方案的功能和可操作性擊敗了競爭對手。

In the U.K., we won a great project for North Kent College to kick out their multicampus rollout in Dartford, Gravesend and Cambridge. The customer needed a security-rich and flexible solution. Our Android 11 IMPACT Max screen exceeded their expectations in all aspects. We also continued our national rollout with Babcock Aerospace, providing our UX Pro solutions for their unified communications and training.

在英國，我們為北肯特學院贏得了一個偉大的項目，以啟動他們在達特福德、格雷夫森德和劍橋的多校區部署。客戶需要高度安全且靈活的解決方案。我們的Android 11 IMPACT Max屏幕各方面都超出了他們的預期。我們還繼續在全國推出 Babcock Aerospace，為他們的統一通信和培訓提供我們的 UX Pro 解決方案。

In summary, Q4 was focused on improving our profitability and margins across both the U.S. and EMEA operations. We expect that to continue throughout FY '23.

總之，第四季度的重點是提高美國和 EMEA 業務的盈利能力和利潤率。我們預計這將持續到整個 23 財年。

With that, I will now turn the call over to our CFO, Greg Wiggins.

有了這個，我現在將把電話轉給我們的首席財務官 Greg Wiggins。

Thanks, Mark, and good afternoon, everyone. I will now review our fourth quarter results. Revenues for the 3 months ended December 31, 2022, were $42.8 million as compared to $44 million for the 3 months ended December 31, 2021, resulting in a 2.7% decrease. FrontRow revenues for the 3 months ended December 31, 2022, totaled $6.7 million or approximately 15.7% of our total revenues. FX headwinds continued to impact operating revenues in Q4 2022 compared to the prior year quarter.

謝謝，馬克，大家下午好。我現在將回顧我們的第四季度業績。截至 2022 年 12 月 31 日止三個月的收入為 4280 萬美元，而截至 2021 年 12 月 31 日止三個月的收入為 4400 萬美元，下降 2.7%。 FrontRow 截至 2022 年 12 月 31 日止三個月的收入總計 670 萬美元，約占我們總收入的 15.7%。與去年同期相比，外匯逆風繼續影響 2022 年第四季度的營業收入。

On a constant currency basis, operating revenues increased approximately 7% for the 3 months ended December 31, 2022. Taking a closer look at Q4 2022 revenues, EMEA revenues totaled $16.9 million or 40% of our total revenues. Americas revenues totaled $25.1 million or 58% of our total revenues while revenues from other markets totaled $800,000 or 2% of our total revenues.

按固定匯率計算，截至 2022 年 12 月 31 日的三個月營業收入增長約 7%。仔細觀察 2022 年第四季度的收入，EMEA 收入總計 1690 萬美元，占我們總收入的 40%。美洲收入總計 2510 萬美元，占我們總收入的 58%，而其他市場的收入總計 80 萬美元，占我們總收入的 2%。

Our top 10 customers represented approximately 37% of total sales in Q4, with the single largest customer at approximately 12% and are based across a number of markets, namely the U.S., U.K. and other European countries.

我們的前 10 大客戶約佔第四季度總銷售額的 37%，最大的單一客戶約佔 12%，分佈在多個市場，即美國、英國和其他歐洲國家。

Approximately 47% of total sales are covered by the top 20 customers.

前 20 大客戶佔總銷售額的大約 47%。

In Q4 2022, hardware comprised the largest proportion of total revenues at approximately 93% of which approximately 75% related to our flat panel displays with the balance related to classroom audio solutions and device accessories. The balance of our total revenues are comprised of software, professional services and STEM solutions.

2022 年第四季度，硬件佔總收入的比例最大，約為 93%，其中約 75% 與我們的平板顯示器相關，其餘與課堂音頻解決方案和設備配件相關。我們總收入的餘額包括軟件、專業服務和 STEM 解決方案。

Gross profit for the 3 months ended December 31, 2022, was $14.4 million as compared to $9.3 million for the 3 months ended December 31, 2021. Gross profit margin for the 3 months ended December 31, 2022, was 33.6%, which is an increase of 1,240 basis points over the comparable 3 months in 2021.

截至 2022 年 12 月 31 日止三個月的毛利為 1,440 萬美元，而截至 2021 年 12 月 31 日止三個月的毛利為 930 萬美元。截至 2022 年 12 月 31 日止三個月的毛利率為 33.6%，即與 2021 年可比的 3 個月相比增加了 1,240 個基點。

Gross profit margin, adjusted for the net effect of acquisition-related purchase accounting was 35% as compared to 22.7% as adjusted for the 3 months ended December 31, 2021. The improvement in gross profit margin in Q4 2022 compared to the prior year period is primarily due to higher margins associated with FrontRow products, lower manufacturing costs, and continued reductions in freight costs over the prior year period.

截至 2021 年 12 月 31 日止 3 個月的調整後毛利率為 35%，而調整後的毛利率為 22.7%。與去年同期相比，2022 年第四季度的毛利率有所改善主要是由於與 FrontRow 產品相關的更高利潤、更低的製造成本以及比上一年同期的運費持續下降。

Total operating expenses for the 3 months ended December 31, 2022, was $15.3 million compared to $14.3 million (sic) [14.9 million] in Q4 2021. Operating expenses for the 3 months ended December 31, 2022, included $3 million of operating expenses related to FrontRow activities. Other expense for the 3 months ended December 31, 2022, was a net expense of $1.6 million as compared to net expense of $2.2 million for the 3 months ended December 31, 2021.

截至 2022 年 12 月 31 日止三個月的總運營費用為 1530 萬美元，而 2021 年第四季度為 1430 萬美元（原文如此）[1490 萬]。截至 2022 年 12 月 31 日止三個月的運營費用包括 300 萬美元相關運營費用FrontRow 活動。截至 2022 年 12 月 31 日止三個月的其他費用為 160 萬美元的淨費用，而截至 2021 年 12 月 31 日止三個月的淨費用為 220 萬美元。

The increase was primarily due to gains recognized from the change in fair value of derivative liabilities of $1.1 million in Q4 2022, coupled with a loss of $1.5 million recognized in the prior year related to the settlement of our previous debt agreement, partially offset by an increase in interest expense of $1.9 million associated with increased borrowings under our credit facility.

增加的主要原因是 2022 年第四季度衍生負債公允價值變動確認的收益 110 萬美元，以及上一年確認的與我們之前債務協議的清算相關的損失 150 萬美元，部分被與我們信貸額度下借款增加相關的利息支出增加 190 萬美元。

The company reported a net loss of $2 million for the 3 months ended December 31, 2022, as compared to net loss of $7.1 million for the 3 months ended December 31, 2021. Net loss attributable to common shareholders was approximately $2.3 million and $7.5 million for the 3 months ended December 31, 2022 and 2021, respectively, after deducting the fixed dividends to Series B preferred shareholders of $317,000 in both 2022 and 2021.

公司報告稱，截至 2022 年 12 月 31 日的三個月淨虧損為 200 萬美元，而截至 2021 年 12 月 31 日的三個月淨虧損為 710 萬美元。歸屬於普通股股東的淨虧損約為 230 萬美元和 750 萬美元分別截至 2022 年 12 月 31 日和 2021 年的 3 個月，扣除 2022 年和 2021 年向 B 系列優先股股東支付的固定股息 317,000 美元。

Total comprehensive income for the 3 months ended December 31, 2022, was $4.8 million compared to total comprehensive loss of $6.9 million for the 3 months ended December 31, 2021, reflecting the effect of foreign currency translation adjustments on consolidation with the net effect in the quarter of $6.8 million and $0.3 million gain for the 3 months ended December 31, 2022 and 2021, respectively.

截至 2022 年 12 月 31 日止三個月的綜合收益總額為 480 萬美元，而截至 2021 年 12 月 31 日止三個月的綜合虧損總額為 690 萬美元，反映了外幣換算調整對合併的影響，淨影響為截至 2022 年 12 月 31 日和 2021 年 12 月 31 日止的三個月，本季度收益分別為 680 萬美元和 30 萬美元。

Earnings per share loss per basic and diluted share was negative $0.03 for the 3 months ended December 31, 2022, and a loss of $0.11 for the 3 months ended December 31, 2021.

截至 2022 年 12 月 31 日的三個月，每股基本和稀釋後每股收益為負 0.03 美元，截至 2021 年 12 月 31 日的三個月，每股虧損為 0.11 美元。

EBITDA for the 3 months ended December 31, 2022, was $2.5 million as compared to a loss of $5.1 million EBITDA for the 3 months ended December 31, 2021. Adjusted EBITDA for the 3 months ended December 31, 2022, was $2.6 million as compared to negative $2.1 million (sic) [$2.0 million] for the 3 months ended December 31, 2021. Adjustments to EBITDA include stock-based compensation expense, gains/losses from the remeasurement of derivative liabilities, gains/losses recognized upon the settlement of certain debt instruments and the effects of purchase accounting adjustments in connection with recent acquisitions.

截至 2022 年 12 月 31 日止三個月的 EBITDA 為 250 萬美元，而截至 2021 年 12 月 31 日止三個月的 EBITDA 為虧損 510 萬美元。截至 2022 年 12 月 31 日止三個月的調整後 EBITDA 為 260 萬美元，相比之下截至 2021 年 12 月 31 日的三個月，負 210 萬美元（原文如此）[200 萬美元]。對 EBITDA 的調整包括基於股票的補償費用、重新計量衍生負債產生的收益/損失、在某些特定項目結算時確認的收益/損失債務工具以及與近期收購有關的採購會計調整的影響。

EBITDA for the year ended December 31, 2022, was $15.4 million as compared to $4.1 million (sic) [$67,000] for the year ended December 31, 2021. Adjusted EBITDA for the year ended December 31, 2022, was $18.9 million as compared to $12.1 million for the year ended December 31, 2021.

截至 2022 年 12 月 31 日止年度的 EBITDA 為 1,540 萬美元，而截至 2021 年 12 月 31 日止年度為 410 萬美元（原文如此）[67,000 美元]。截至 2022 年 12 月 31 日止年度的調整後 EBITDA 為 1,890 萬美元，而相比之下截至 2021 年 12 月 31 日的年度為 1210 萬美元。

Turning to the balance sheet. At December 31, 2022, Boxlight had $14.6 million in cash, $62.8 million in working capital, $58.2 million in inventory, $195.8 million in total assets, $44.6 million in debt, net of debt issuance costs of $5.4 million and $51.9 million in stockholders' equity.

轉向資產負債表。截至 2022 年 12 月 31 日，Boxlight 擁有現金 1460 萬美元、營運資金 6280 萬美元、存貨 5820 萬美元、總資產 1.958 億美元、債務 4460 萬美元，扣除債務發行成本 540 萬美元和股東權益 5190 萬美元.

At December 31, 2022, Boxlight had 74.6 million (sic) [74.7 million] common shares issued and outstanding and 3.1 million preferred shares issued and outstanding. With that, we'll open up the call for questions.

截至 2022 年 12 月 31 日，Boxlight 已發行和發行在外的普通股為 7460 萬股（原文如此）[7470 萬股]，發行在外的優先股為 310 萬股。有了這個，我們將打開問題電話。

(Operator Instructions) And the first question today is coming from Brian Kinstlinger from Alliance Global Partners.

（操作員說明）今天的第一個問題來自 Alliance Global Partners 的 Brian Kinstlinger。

First, you mentioned you thought lower demand was temporary. What gives you that confidence? And when do you expect demand to strengthen? Is that the second half of the year and why.

首先，您提到您認為需求下降是暫時的。是什麼給了你這樣的信心？您預計什麼時候需求會增強？那是下半年嗎？為什麼。

Yes. So a couple of thoughts. Thanks for the question, Brian. And Mark, you can jump in after if you'd like. So there's really a couple of things we watch. One is we watch pretty closely industry reports. And if you look at industry reports, we're seeing the expectation is there. There is going to be greater demand at the latter part of the year. And that although 2023 will be down some for a lot of our key products over 2022, it's low single digits. So it's not a dramatic decline in 2023.

是的。所以有幾個想法。謝謝你的問題，布賴恩。馬克，如果你願意，你可以在之後加入。所以我們確實看到了幾件事。一是我們密切關注行業報告。而且，如果您查看行業報告，我們就會看到期望就在那裡。今年下半年會有更大的需求。而且，儘管到 2022 年，我們的許多主要產品在 2023 年都會下降一些，但它是低個位數。因此，到 2023 年不會出現急劇下降。

Now that being said, a lot of our growth has not been growing with the industry. It's been taking market share, and we still believe we're in a position to take some market share. But then on a macro level, just looking at our own business, we see indication of greater sales based off of opportunity registrations or sales registrations that we bring in from our reseller partners. And then also, we track our pipeline, and we see it in pipeline growth. And we've seen over the last few weeks, there's been a big surge in sales registrations and pipeline growth, which is going to lead to much higher sales for the latter part of the year.

話雖如此，我們的很多增長並沒有隨著行業的發展而增長。它一直在佔據市場份額，我們仍然相信我們有能力佔據一些市場份額。但在宏觀層面上，只要看看我們自己的業務，我們就會看到基於我們從經銷商合作夥伴那裡帶來的機會註冊或銷售註冊的更大銷售額的跡象。然後，我們跟踪我們的管道，我們在管道增長中看到它。我們在過去幾週看到，銷售登記和管道增長大幅飆升，這將導致今年下半年的銷售額大幅增加。

I'd add on top of that, we've invested in our team in the latter part of last year, coming into the beginning of this year, we hired some additional salespeople in key territories, and we've added some of our sales support team. So a combination of looking at the broader industry, looking at on a micro basis, what's happening within sales registrations and our pipeline growth and then also the additional resources that we've thrown at our sales team, the combination of all of that leads us to believe that we will see growth this year, albeit perhaps modest single-digit growth.

最重要的是，我們在去年下半年投資了我們的團隊，進入今年年初，我們在關鍵地區僱傭了一些額外的銷售人員，我們增加了一些銷售支持團隊。因此，結合更廣泛的行業，從微觀的角度來看，銷售註冊和我們的管道增長中發生的事情，然後還有我們投入銷售團隊的額外資源，所有這些的結合導致我們相信我們今年會看到增長，儘管可能是適度的個位數增長。

The other thing I'd add to that, Michael -- for you, Brian, is we still believe there's approximately $88 billion left on the ESSER III funds that's got to be spent in the U.S., right? That's going to be spent by September next year. So those funds, use it or lose it, right? So okay, we're not going to get a massive percentage of those funds, but there is still a significant amount of money out there, which needs to be spent by the schools. Otherwise, they lose it. So the demand, we think, will definitely come back.

我要補充的另一件事是，邁克爾——對你來說，布賴恩，我們是否仍然相信 ESSER III 基金中還有大約 880 億美元必須花在美國，對嗎？這筆錢將在明年 9 月之前用完。那麼那些資金，使用它還是失去它，對嗎？好吧，我們不會獲得這些資金的很大一部分，但仍然有大量資金需要由學校支出。否則，他們會失去它。因此，我們認為需求肯定會回來。

And I'd just add on that point, the education buying season -- so education in the U.S., public education is on a June 30 year-end. And so you see this time of year, in February, March, April, in particular, they're planning for the new school year budget. And so they're making decisions right now to be spent next year. We think part of the reason there's been a little bit of a low is because there was an increase in spending post COVID, where schools were buying a lot of technology and spending. But we think they just stepped back and took a little bit of a breather and now they're making decisions again that will kick in and definitely -- I think they'll start to kick in, in Q2 but definitely come Q3, we're going to see a big influx we believe in spending.

我只想補充一點，教育購買季——所以美國的教育，公共教育是在 6 月 30 日年底。所以你看到每年的這個時候，特別是二月、三月、四月，他們正在計劃新學年的預算。因此，他們現在正在做出明年要花掉的決定。我們認為，部分原因有點低是因為 COVID 後支出增加，學校購買了大量技術和支出。但我們認為他們只是退後一步，稍作喘息，現在他們再次做出決定，這將發揮作用，而且肯定——我認為他們會在第二季度開始發揮作用，但肯定會在第三季度開始，我們”我們相信支出會大量湧入。

Great. Just a follow-up. It's a little more backward looking, I would think back in November, when we had our last conference call here, the pipeline was still strengthening, which is why the pipeline was solid, which is why you thought revenue would be higher. So what happened? Was there delays in purchases? What transpired that you didn't expect that led to the lower-than-expected demand?

偉大的。只是一個跟進。這有點向後看，我會在 11 月回想，當我們在這裡舉行最後一次電話會議時，管道仍在加強，這就是管道穩固的原因，這就是你認為收入會更高的原因。所以發生了什麼事？採購有延遲嗎？發生了什麼您沒有預料到的事情導致了低於預期的需求？

Yes. I think a couple thing...

是的。我認為有兩件事...

Michael, I'd love to jump. Okay, you're first.

邁克爾，我想跳。好吧，你是第一個。

Yes. No, go ahead, if you want to jump in first, go ahead.

是的。不，繼續吧，如果你想先跳進去，那就繼續吧。

Yes. The first thing I'd say there, Brian, would be the FX. There was a huge impact on FX at the end of Q3 and definitely in Q4, which is why when you actually look at our numbers, if you look at it on a constant currency basis, we actually had a 7% growth in Q4 but without that, on a dollar basis, then we actually had a decline or small decline. So FX paid a big impact in our Q4 numbers definitely.

是的。布賴恩，我要說的第一件事就是外匯。第三季度末對外匯產生了巨大影響，第四季度肯定是這樣，這就是為什麼當你實際查看我們的數字時，如果你以固定匯率為基礎查看它，我們實際上在第四季度增長了 7%，但沒有也就是說，以美元為基礎，我們實際上出現了下降或小幅下降。因此，FX 無疑對我們的第四季度數據產生了重大影響。

Yes, I think that -- I would mention that. But I'd also mention, Brian, that we knew that it was slowing because order intake slowed in Q3 of last year. So we already knew that. We reported on slower order intake which -- when order intake slows, of course, that results in lower revenues. So we guided down a little bit already in Q4, but it just ended up being a little bit softer than what we expected, not dramatically softer, but somewhat softer than what we expected.

是的，我認為——我會提到這一點。但我還要提到，布賴恩，我們知道它正在放緩，因為去年第三季度的訂單攝入量放緩。所以我們已經知道了。我們報告了訂單接收速度較慢的情況——當訂單接收速度放緩時，當然會導致收入下降。所以我們在第四季度已經下調了一點，但它最終比我們預期的要軟一點，不是顯著軟，而是比我們預期的要軟一些。

Now your gross margin was one of the highest in your history. I assume a big piece of it was FrontRow. But first, was there anything nonrecurring in there? And second, you mentioned you expect strong gross margins for the year, sorry, but I think it's a little vague, does that mean 34% is sustainable? Does that depend on volume and mix? Just kind of take us through your assumptions because it was so much stronger than typical.

現在你們的毛利率是你們歷史上最高的之一。我認為其中很大一部分是 FrontRow。但首先，其中是否有任何非經常性的東西？其次，你提到你預計今年的毛利率會很高，對不起，但我認為這有點含糊，這是否意味著 34% 是可持續的？這取決於音量和混合嗎？只是讓我們了解一下你的假設，因為它比典型的要強大得多。

Yes. Brian, I'll jump in first on this one. So to maybe add a little more color to margins holding up throughout the rest of the year, I think we -- I think to be a little more specific, we think they're going to hold up north of 30%. I don't now that we would commit to 33%. I don't think there's any noise in the results for Q4.

是的。布賴恩，我會先加入這個。因此，為了在今年餘下的時間里為保持的利潤率增加一點色彩，我認為我們 - 我認為更具體一點，我們認為它們將保持在 30% 以上。我現在不認為我們會承諾 33%。我認為第四季度的結果沒有任何噪音。

A lot of the strength in margin really is just coming through reduced manufacturing costs, reduced freight costs, et cetera, which we disclosed. And the FrontRow does have a positive impact. It had a positive impact for every quarter this year. FrontRow is not driving the entire growth, so -- in our margin. I would say it's actually a combination of factors. I think as far as the margins holding up throughout the rest of the year, I think we would view them north of 30% is our expectation for the duration of the year, maybe trending a little closer back to 30% as the year progresses.

利潤率的很大一部分實際上只是通過降低製造成本、降低運費等來實現的，我們披露了這一點。 FrontRow 確實產生了積極的影響。它對今年的每個季度都產生了積極影響。 FrontRow 並沒有推動整個增長，所以 - 在我們的保證金中。我會說這實際上是多種因素的結合。我認為就今年餘下時間的利潤率而言，我認為我們會認為它們超過 30% 是我們對今年持續時間的預期，隨著時間的推移可能會回到 30% 的趨勢。

You mentioned FrontRow, we acquired FrontRow in December 31 of '21. So we had FrontRow in our numbers for the full year 2022. So if you're looking -- if you're comparing gross profit margin from quarter-to-quarter, that wasn't new. The real benefit was higher focus on higher margins. So that was a major focus inside the company trying to drive higher prices and then that combined with us buying better and then the lower freight and transportation costs.

您提到了 FrontRow，我們在 2021 年 12 月 31 日收購了 FrontRow。因此，我們在 2022 年全年的數據中都有 FrontRow。因此，如果您正在尋找 - 如果您正在比較每個季度的毛利率，那並不是什麼新鮮事。真正的好處是更加關注更高的利潤率。因此，這是公司內部的一個主要焦點，試圖推高價格，然後與我們更好地購買，然後降低運費和運輸成本相結合。

And then lastly, I wanted to touch on pricing. I think last we spoke, there wasn't pricing pressure, but there's a potential, obviously, with the market going down. Has anything changed from a competitive positioning and pricing in the market? Is there any one competitor going out there trying to be a little bit more aggressive?

最後，我想談談定價。我認為上次我們談話時，沒有定價壓力，但顯然有市場下跌的潛力。市場競爭定位和定價有什麼變化嗎？是否有任何競爭對手試圖變得更具侵略性？

We absolutely have some competitors that have more aggressive pricing. So the way we price ourselves in the market is we're not the low-cost leader. We're going to be higher than the guys that price on the lower end. And we talk about selling value, which we do. It's not just about a point solution. It's about our total solution, which includes hardware, software services. And so there's a reason we'll charge a little bit more. But that being said, there will be broader price pressure, we believe, in the near future.

我們絕對有一些競爭對手的定價更激進。因此，我們在市場上給自己定價的方式是我們不是低成本領導者。我們將比低端價格的人更高。我們談論我們所做的銷售價值。這不僅僅是一個點解決方案。這是關於我們的整體解決方案，包括硬件、軟件服務。所以我們要多收一點錢是有原因的。但話雖如此，我們相信在不久的將來會有更廣泛的價格壓力。

Now what does that mean? I don't know. I think it's going to be out a few quarters. But certainly, we're going to see some price pressure on our interactive flat panel displays just because of the life cycle of any product sees that. And so our ability to maintain high margins is not going to be based on just IFPD. It's going to be our ability to sell our broader solution suite, which includes software, which has higher margins and accessories, which are higher margins, our STEM solutions, et cetera.

這是什麼意思？我不知道。我認為它會在幾個季度後消失。但可以肯定的是，我們會看到我們的交互式平板顯示器出現一些價格壓力，因為任何產品的生命週期都會看到這一點。因此，我們保持高利潤率的能力不會僅基於 IFPD。這將是我們銷售更廣泛的解決方案套件的能力，其中包括具有更高利潤率的軟件和具有更高利潤率的配件，我們的 STEM 解決方案等等。

So again, we believe that we can continue to maintain high margins in the short -- maybe midterm, but long term is going to be a function of us selling our -- being more successful with our broader product suite, and it's going to be a matter of product mix.

因此，我們再次相信，我們可以在短期內繼續保持高利潤率——也許是中期，但長期來看，這將是我們銷售我們的產品的一個功能——通過我們更廣泛的產品套件取得更大的成功，這將是產品組合的問題。

(Operator Instructions) And we did have another question come from Jack Vander Aarde from Maxim Group.

（操作員說明）我們確實有另一個問題來自 Maxim Group 的 Jack Vander Aarde。

Okay. Great. I appreciate the update, guys. Michael, maybe I'll just start quickly with the share buyback program you announced recently. I thought that was a positive announcement, just want to understand maybe, I think in that press release, you mentioned whenever the share -- you'll use it whenever you see the share below maybe the intrinsic value. So maybe can you just speak to whatever color you can provide on what you perceive as intrinsic value? And have you used any of the share repurchase program to date? Or are there plans to do so in the near future?

好的。偉大的。我感謝更新，伙計們。邁克爾，也許我會快速開始你最近宣布的股票回購計劃。我認為這是一個積極的公告，只是想了解也許，我想在那份新聞稿中，你提到每當股票時——只要你看到低於內在價值的股票，你就會使用它。因此，也許您可以就您認為的內在價值提供任何顏色嗎？到目前為止，您是否使用過任何股票回購計劃？或者有計劃在不久的將來這樣做嗎？

Yes. Thanks, Jack, for the question. So to date, we have not exercised the use of that facility yet, but we were approved over the next few years to purchase up to $50 million of our stock by the Board. So it's a facility we're going to use or we expect to use. Speaking of when, really, it's a matter of watching closely our cash flow generation, and we expect that we're going to start to generate pretty significant cash flows, particularly in the second half of the year. And as that happens, we'll look at that excess cash flow that we have and look at the best way to spend that cash, whether it's paying down debt or investing in the business or buying our stock back. And I expect that in a short number of months, we're going to be talking very closely about potentially purchasing shares back.

是的。謝謝，傑克，提出這個問題。所以到目前為止，我們還沒有行使該設施的使用權，但董事會批准我們在未來幾年內購買高達 5000 萬美元的股票。所以這是我們將要使用或我們期望使用的設施。說到什麼時候，真的，這是密切關注我們的現金流產生的問題，我們預計我們將開始產生相當可觀的現金流，尤其是在今年下半年。當這種情況發生時，我們將審視我們擁有的多餘現金流，並研究花費這些現金的最佳方式，無論是償還債務、投資業務還是回購我們的股票。我預計在短短幾個月內，我們將非常密切地討論可能回購股票的問題。

Speaking to what we believe intrinsic value is, I don't know that it'll -- I'll give you a specific number, but I'll say that we feel like we're well below where we should be. And I think that's true of all the shareholders we talk to on a regular basis. They believe that our current value in the market is significantly below where we should be. And of course, that's true if you look at any type of earnings or revenue multiple, you're going to come to that conclusion.

談到我們認為的內在價值是什麼，我不知道它會 - 我會給你一個具體數字，但我會說我們覺得我們遠遠低於我們應該達到的水平。我認為我們定期與之交談的所有股東都是如此。他們認為我們目前在市場上的價值大大低於我們應該達到的水平。當然，如果你查看任何類型的收益或收入倍數，那是真的，你會得出這樣的結論。

Okay. Great. I appreciate the response. And then in terms of -- I think last quarter, you were mentioning, when we started experiencing a slowdown in demand or seeing it happen that the FrontRow business was experiencing maybe a greater decline in demand at that time. It seems like it was a net positive contributor though, in this fourth quarter. And I guess just looking forward, has your expectations changed? I think last quarter, you were expecting the business to have a strong rebound in 2023. So maybe just talk about what's happened in terms of the FrontRow specifically with the demand outlook.

好的。偉大的。感謝您的回复。然後就 - 我認為上個季度，你提到，當我們開始經歷需求放緩或看到 FrontRow 業務當時可能經歷了更大的需求下降時。不過，在第四季度，它似乎是一個淨積極的貢獻者。我想只是期待，你的期望改變了嗎？我認為上個季度，您預計該業務將在 2023 年強勁反彈。所以也許只是談談 FrontRow 方面發生的事情，特別是需求前景。

Michael, Do you want to take that one or do you want me to take that one?

邁克爾，你要拿那個還是要我拿那個？

Yes, how about you jump in Mark on that?

是的，你加入馬克怎麼樣？

Yes. Yes. So you're right. I mean FrontRow was a little slower than we expected last year. But definitely, we are seeing things pick up for FrontRow solutions. In particular, we've integrated part of FrontRow solutions into what we have with both Mimio and Clevertouch so that we have an integrated solution across the campus, which we call ATTENTION! and that is getting a lot of attention because the K-12 customers, in particular, are seeing how we can show an integrated solution that can give an alert, not just an audio alert, but integrate it to all the screens that they have on their campus.

是的。是的。所以你是對的。我的意思是 FrontRow 比我們去年預期的要慢一些。但可以肯定的是，我們看到 FrontRow 解決方案的情況正在好轉。特別是，我們已將部分 FrontRow 解決方案集成到我們擁有的 Mimio 和 Clevertouch 解決方案中，以便我們在校園內擁有一個集成解決方案，我們稱之為 ATTENTION！這引起了很多關注，因為 K-12 客戶尤其看到了我們如何展示可以發出警報的集成解決方案，而不僅僅是音頻警報，而是將其集成到他們擁有的所有屏幕上他們的校園。

That really differentiates us from the competition, having that integrated solution. And we are seeing definitely, more recently, things picking up for FrontRow. And the business is being integrated into our business now. The sales force, it is one sales force, it's not 2 sales forces in the U.S. So things are definitely more positive for us on the FrontRow side.

擁有集成解決方案，這確實使我們在競爭中脫穎而出。我們最近確實看到 FrontRow 的情況正在好轉。該業務現在正在整合到我們的業務中。銷售人員，它是一個銷售人員，而不是美國的 2 個銷售人員。所以在 FrontRow 方面，事情對我們來說肯定更積極。

Yes. And I would add that I think there's been quite a bit more interest in recent weeks and months, partially due to more focus on school safety. That ATTENTION! product in addition to being a great communication tool, to communicate in any way needed. In the event that there is an emergency alert, we can push those emergency alerts across the campus, both across every screen as well as every speaker throughout the campuses.

是的。我想補充一點，我認為最近幾周和幾個月人們的興趣有所增加，部分原因是更加關注學校安全。注意！產品除了是一個很好的溝通工具外，還可以以任何需要的方式進行溝通。如果出現緊急警報，我們可以將這些緊急警報推送到整個校園，包括校園內的每個屏幕以及每個揚聲器。

So the ability to do that is unique and it's really unique to us and there is more focus on that. We talked about an opportunity in Texas with government funding and specifically around school safety and we think that we could do quite a bit of business in the State of Texas this year with Audio. But I would just echo what Mark said that we're seeing more interest. I think you're going to see an uptick in 2023 of Audio sales, whereas as you mentioned, 2022 was below what we had expected.

因此，做到這一點的能力是獨一無二的，這對我們來說真的是獨一無二的，而且人們更加關注這一點。我們談到了在德克薩斯州獲得政府資助的機會，特別是圍繞學校安全的機會，我們認為今年我們可以在德克薩斯州通過 Audio 開展相當多的業務。但我只想回應馬克所說的，我們看到了更多的興趣。我認為您會在 2023 年看到音頻銷量的上升，而正如您提到的，2022 年低於我們的預期。

Okay. Great. I appreciate the color. But despite these headwinds, I do want to point out and mention, congrats on your first full year of positive cash flow from operations. It's a big moment for you guys. It's been a long time coming. So that was great to see. As you look forward in 2023, I imagine you're pretty confident about that cash flow growing, cash from operation is growing even in a flat environment, it seems. Can you just speak to your outlook with the cash from operations. And maybe as that builds, where else do you look at in terms of putting that cash to use? Is there additional acquisitions? Or is it more of reinvesting in the organic growth of the business?

好的。偉大的。我很欣賞這種顏色。但是，儘管存在這些不利因素，我還是想指出並提及，祝賀您的第一年運營現金流為正。這對你們來說是一個重要的時刻。好久不見了。所以很高興看到。當你展望 2023 年時，我想你對現金流的增長非常有信心，即使在平穩的環境中，來自運營的現金也在增長，看起來。你能用運營現金來談談你的前景嗎？也許隨著這種情況的建立，您還可以將現金用於何處？是否有額外的收購？還是更多地對業務的有機增長進行再投資？

Yes. I think in the near term, it's going to be about building what we feel are adequate cash reserves, building up cash in the business. Obviously, we paid down $8.5 million of principal on our debt in Q4. So -- and that was paid with cash flow from operations. So part of it is building that -- building our cash back up to a sufficient level of serves, as Michael kind of alluded to earlier, it's also with share buybacks and potentially in other ways to reinvest in the business there.

是的。我認為在短期內，這將是建立我們認為充足的現金儲備，在業務中積累現金。顯然，我們在第四季度償還了 850 萬美元的債務本金。所以 - 這是用運營現金流支付的。所以它的一部分是建立——建立我們的現金備份以達到足夠的服務水平，正如邁克爾早些時候提到的那樣，它還包括股票回購和可能以其他方式對那裡的業務進行再投資。

From an acquisition standpoint, I think we feel like there's a lot of room organically right now to grow the business. We're targeting new areas, both in the U.S. and EMEA to target our sales efforts or increase our sales efforts in. So for the short term, those are probably kind of the primary uses of our cash. Certainly, we -- there's other avenues we could explore from as we continue to pay attention to our capital structure and whether it's either paying down debt or through share buybacks as we kind of explore those options.

從收購的角度來看，我認為我們覺得現在有很大的有機空間來發展業務。我們的目標是在美國和 EMEA 的新領域，以針對我們的銷售工作或增加我們的銷售工作。所以在短期內，這些可能是我們現金的主要用途。當然，我們 - 我們可以探索其他途徑，因為我們繼續關注我們的資本結構，以及在我們探索這些選擇時是償還債務還是通過股票回購。

But I think in the near term, it's really just making sure we are maintaining good cash reserves and building that up. And that will progress throughout the fiscal year 2023.

但我認為在短期內，這真的只是確保我們保持良好的現金儲備並建立起來。這將在整個 2023 財年取得進展。

Thank you. And there were no other questions from the lines at this time. I would now like to hand the call back to Michael Pope for closing remarks.

謝謝。而此時台詞也沒有其他問題。我現在想將電話轉回給 Michael Pope，請其作結束語。

Thank you, everyone, for your support and for joining us today on our fourth quarter 2022 conference call. We look forward to speaking to you again in May when we report our Q1 2023 results.

感謝大家的支持，感謝您今天加入我們的 2022 年第四季度電話會議。我們期待在 5 月份報告 2023 年第一季度業績時再次與您交談。

Thank you. This does conclude today's conference. You may disconnect at this time, and have a wonderful day. Thank you for your participation.

謝謝。今天的會議到此結束。此時您可能會斷開連接，並度過美好的一天。感謝您的參與。